London homes beyond of the reach of Londoners

29th November 2013

A new report has found that thousands of new homes are being built in London at prices well beyond the reach of most Londoners.

More than 4,600 homes have been built, approved or planned this year at a value of between £1,250 and £1,650 per sq ft, two or three times higher than the current average price of existing houses in the areas where they are being built. Overall, more than 20,000 prime homes could be delivered in London over the next decade. The combined sale value could exceed £50bn, with the potential peak of development activity predicted to be in 2017. Darren Johnson, Green Party Member of the London Assembly, said: "Building 20,000 luxury homes isn't supplying the sort of homes Londoners need, it's a waste of scarce land and is driving up prices elsewhere. The Mayor needs to use his planning and housing powers to ensure that homes affordable to ordinary residents are the priority."

Source:   Evening Standard